Bitcoin (BTC) delivered much-anticipated volatility on September 27 as higher pressure led to a push beyond $20,000.
BTC price 9-day highs greet traders
Data from Cointelegraph Markets Pro and TradingView followed BTC/USD as it rose more than 7% after the close on September 26.
Local highs of $20,344 appeared on Bitstamp before the pair started to consolidate around $20,200.
Naturally, the move did not go unnoticed in trading circles, but opinions differed on the outcome, amid warnings that the whole episode could end up catching over-optimistic traders taking late long positions.
“No [rejection] yet, but soon For now, more is expected,” the popular Il Capo de Crypto Twitter account summarizedfollowing a theory that called for new lows lower than the sub-$19,000 levels seen over the past week.
Meanwhile, research firm Santiment noted that massive profit-taking was beginning as Bitcoin once again crossed the $20,000 mark for the first time in more than a week.
“Apparently many traders were waiting for the $20,000 threshold to start selling their bags,” he said. revealed together with a chart of transactions made with profit or loss to its owner.
“As Bitcoin crossed back above this psychological level, massive profit-taking ensued. Now let’s find out if those eager to sell will regret their decisions.”
Can the bulls beat “Septembear?”
Meanwhile, in a sign of how even modest price moves can affect market sentiment, the return to $20,000 meanwhile set up BTC/USD to finish September higher than it started.
Related: ‘Bond Market Bubble Has Burst’: 5 Things to Know in Bitcoin This Week
As the on-chain analysis resource Material Indicators pointed out, it was now all about the bulls’ ability to defend BTC’s price action at the monthly close.
“BTC now in position for a green monthly close…if it can hold until Friday. Taking profits along the way,” he said confirmed in a tweet
Although modest, Bitcoin’s September gains totaled 0.7% at the time of writing, with BTC/USD at $20,200. If the month ends up being “green,” it would be the first September without a loss since 2016, data from Coinglass shows.
Just a day earlier, Bitcoin was looking at monthly losses of 6% or more.
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